Ripple's U.S. dollar stablecoin, RLUSD, is experiencing significant institutional adoption and a potential migration of its transaction volume from the Ethereum network to the XRP Ledger. Ripple executive Reece Merrick stated in a recent interview that while over 70% of global stablecoin activity currently resides on Ethereum, the company expects a growing share of RLUSD's activity to shift to the XRP Ledger due to its speed and cost advantages.
RLUSD's adoption has been accelerated by regulatory approvals in the Middle East. Ripple secured approval from the Abu Dhabi Global Market and Dubai's financial regulator to use RLUSD as a recognized U.S. dollar-backed stablecoin within their licensed zones. These approvals have provided institutions with regulatory clarity, boosting confidence in the stablecoin. Since its launch in late 2025, RLUSD has reached a market value of approximately $1.3 billion, and Ripple has processed over $90 billion in global payments.
Currently, about 30-35% of the RLUSD supply sits on the XRP Ledger, with the remainder on Ethereum. Merrick emphasized that users are beginning to shift activity as they recognize transactions on the XRP Ledger settle in 2-3 seconds and cost a fraction of a cent. "Over time we expect a lot of that volume to move over and eventually eclipse what sits on Ethereum," he said.
In a major development for accessibility, RLUSD has secured listings on major financial platforms. Interactive Brokers, a major global brokerage firm, plans to add support for RLUSD for 24/7 account funding, building on its existing partnership with Ripple and support for XRP trading. This follows Interactive Brokers' initial rollout of stablecoin funding with Circle's USDC in December. Additionally, regulated institutional trading firm LMAX Group plans to incorporate RLUSD as a core collateral asset across its global infrastructure, enabling clients to use it for cross-collateralization, margin, and settlement.
Institutional demand is a key driver, particularly following Ripple's acquisition of treasury management firm GTreasury. Large enterprises are exploring RLUSD to manage global funding more efficiently, bypassing traditional banking cut-off times. Meanwhile, the ecosystem around XRP itself is showing strength. Spot XRP Exchange-Traded Funds (ETFs) have reached a new milestone, with cumulative net inflows surging to approximately $1.27 billion and net assets under management hitting $1.51 billion.
Ripple remains positive that RLUSD's growth will strengthen the XRP Ledger ecosystem and increase long-term utility for XRP, as demand shifts toward faster, lower-cost blockchain infrastructure for payments and cross-border value transfer.
